Instacart is suing Uber’s grocery delivery service Cornershop

(CNN Business)Instacart is now waging a legal battle with Uber’s Cornershop grocery service at a time when both companies are looking to capitalize on growing demand for food deliveries during the pandemic.On Thursday, Instacart filed a lawsuit against Cornershop, a new grocery delivery competitor in the US, over allegedly stealing thousands of its copyrighted and […]

Delivery Services See Continued Growth

Since the start of the pandemic, delivery developments have continued to make headlines in foodservice and retail with a renewed interest in investments. Foodservice DoorDash Inc. is close to securing new funding that would value it at more than $15 billion before the infusion, reported The Wall Street Journal (June 11). The company plans to sell hundreds of millions […]

Instacart now valued at $13.7 billion

Grocery delivery company Instacart announced Thursday that it raised $225 million in new venture capital funding at a $13.7 billion valuation. Why it matters: Instacart was often an afterthought for those following the gig economy, until the coronavirus pandemic made it a lifeline for many Americans who were unable or unwilling to shop for groceries. It’s […]

INSTACART WILL LIKELY HAVE TO RECLASSIFY WORKERS AS EMPLOYEES AMID OTHER AB 5 LAWSUITS

On demand, human cloud platform Instacart will likely have to classify its full-time shoppers in California as employees rather than independent contractors, Bloomberg Law reported. The tentative ruling came Friday in a lawsuit brought against Instacart by the San Diego City Attorney’s Office. The move comes under the more-strict ABC test for independent contractor misclassification that […]

N.Y. ride-hailing drivers file suit against Uber, allege they are owed millions in undercut wages

Ride-hailing drivers in New York City have filed a lawsuit against Uber that claims the company wrongfully deducted taxes from their paychecks and did not pay them the full income they earned from rides. The lawsuit was filed in federal court in Manhattan on Wednesday by the New York Taxi Workers Alliance, an organization with about 22,000 […]

Raley’s makes another investment in e-commerce

In an effort to reach new customers, Raley’s is building upon its delivery options. The West Sacramento-based grocery chain on Wednesday announced that it’s offering home delivery service through Instacart, a San Francisco-based company that serves thousands of cities, spanning the U.S. and Canada. In 2017, Raley’s began offering same-day delivery through its own eCart program. That program, […]

‘I’m Addicted’; Why Food-Delivery Companies Want to Create Superusers

DoorDash, Instacart and others want to turn casual customers driven by discounts into repeat users who rely on their services regularly Food-delivery companies are racing to convert customers first lured by discounts into habitual, high-value users. Their challenge, in part, is to wring more revenue from customers like Jessica Knapik, a 31-year-old cosmetic tattoo artist […]

Instacart CEO apologizes for tipping debacle

On the heels of a recently filed class-action lawsuit over wages and tips, as well as drivers and shoppers speaking out about Instacart’s alleged practices of subsidizing wages with tips, Instacart  is taking steps to ensure tips are counted separately from what Instacart pays shoppers. In a blog post today, Instacart CEO Apoorva Mehta said all shoppers will now […]

Instacart faces class-action lawsuit regarding wages and tips

Instacart is facing another class-action lawsuit pertaining to the way it pays its independent contractors, NBC News reports. Instacart guarantees its workers at least $10 per job, but workers are alleging Instacart offsets wages with tips from customers. The suit alleges Instacart “intentionally and maliciously misappropriated gratuities in order to pay plaintiff’s wages even though Instacart […]

Delivery Startups Are Using Tips To Fulfill Pay Promises, And Customers Are Mad

Instacart customers who feel tricked by the grocery delivery company’s tipping policy are threatening to stop using the service. Last week, customers were surprised to learn that Instacart uses customer tips to cover its guaranteed $10 per delivery minimum payment to drivers, which means that in some cases, the more a customer tips, the less the company […]